NFDA: ‘Strong demand in used car market’

The UK’s used car market fell -4.3 per cent in the final quarter of 2022, with 1,571,295 transactions. The twelve months of the year saw transactions down -8.5 per cent.

“Whilst 2022 experienced a decline in used car sales this was as a result of a particularly strong 2021. Franchised dealers continue to see strong demand in the used car segment, driven by a combination of consumer demand and a lack of supply of new vehicles”, said Sue Robinson, chief executive of the National Franchised Dealers Association (NFDA), commenting on the latest SMMT’s used car figures.

Used battery electric vehicles (BEVs) saw an impressive 37.5 per cent growth, increasing its market share to 1 per cent, from 0.7 per cent. Plug-in hybrids (PHEVs) experienced 3.6 per cent growth, followed by hybrid (HEV) growth of 8.6 per cent. Together, electrified vehicles represented just 4.1 per cent of the market.

Petrol and diesel continued to dominate the vast majority of used sales, with 6,594,880 transactions at 87.6 per cent of the market share.

Sue Robinson added: “Used cars remain an extremely important segment of the UK car market. Franchised dealers are helping customers find the right model for them during this cost of living crisis.

“Looking ahead, used car values will remain strong whilst supply side issues on new vehicles are prevalent. We also expect the BEV section of the market to continue to rapidly grow as more models enter production.”